Comments Off on PNB set up centralized loan processing centre to improve quality credit

The bank was hit by a Rs 13,000 crore fraud perpetrated by diamond trader Nirav Modi and his uncle Mehul Choksi, in connivance with certain bank officials.

NEW DELHI: Fraud-hit Punjab National BankNSE 4.60 % (PNB) today opened of its first centralised loan processing centre (CLPC) as part of its efforts to strengthen internal systems and processes.

Under ‘Mission Parivartan’, a future-facing initiative to push the bank forward on its transformation journey, many steps have been taken to position the bank as a future-ready bank, PNB said in a statement.

The bank has opened its first CLPC as well as launched a new initiative called Reach In Reach Out (RIRO) as part of efforts to improve credit quality and ensure faster processing of loans.

This will ensure improved turn-around-time, separate Pre- and Post-sanction responsibility and enable qualitative credit assessment as well as efficient monitoring. RIRO will serve as a unique communication tool to better engage with customers and staff, PNB MD Sunil Mehta said.

“During the most turbulent times, our domestic deposits have grown. Our customer confidence has not been impacted…Our new initiative RIRO aims to better engage with customers and staff and take this journey forward,” he said.

With the launch of CLPC, credit operations will be performed at specialised loan processing centres, he said, adding, this will help the branches focus better on lead generation and enhanced customer service. Similar centres will be set up across-India in a phased manner.
The bank was hit by a Rs 13,000 crore fraud perpetrated by diamond trader Nirav Modi and his uncle Mehul Choksi, in connivance with certain bank officials.